The Central Bank of Nigeria (CBN) has approved the merger arrangement between Unity Bank Plc and Providus Bank Limited, as announced by the bank’s spokeswoman, Hakama Sidi Ali, in Abuja last night.
According to a statement by Mrs. Sidi Ali, the approval includes financial support crucial for addressing Unity Bank’s obligations to the CBN and other stakeholders. This strategic decision aims to enhance the stability of Nigeria’s financial system and mitigate systemic risks.
The merger is being conducted under the provisions of Section 42 (2) of the CBN Act, 2007, and is designed to ensure the operational stability of the new entity. The CBN emphasized that no other Nigerian bank is in a situation comparable to the recent liquidation of Heritage Bank.
The CBN reiterated its commitment to protecting depositors and maintaining the integrity of the banking sector through proactive measures and strategic support during this critical transition.
News Editor